Minister appoints advocate to represent consumers at PUB auto insurance rate hearing

Walter Noel, Minister of Government Services and Lands, has appointed Peter O�Flaherty as consumer advocate to represent consumers at the 2002 Facility Association (F.A.) Hearing of the Board of Commissioners of Public Utilities (PUB).

F.A. is an association of insurance companies which provides auto insurance to those who cannot find it through the regular insurance marketplace. It is seeking increases as high as 60.5 per cent for third party liability on the Avalon Peninsula. All areas of the province are affected with requested increases for all coverage combined being 51.6 per cent on the Avalon Peninsula, 28.1 per cent on the remainder of the island, and 37.7 per cent in Labrador.

Minister Noel said: "I introduced a bill during the last sitting to allow for the appointment of a consumer advocate in such cases. The intent is to ensure that consumers receive proper representation at such hearings. While the bill was not passed before the House adjourned, I was hopeful that it would be passed prior to a PUB hearing. This appointment is an interim measure to ensure consumer interests are protected and that any increase granted is fully justifiable."

The PUB issued a notice of application and a pre-hearing conference on November 5, 2002 with respect to an F.A. application.

Public hearings are scheduled to commence December 11, 2002.

Media contact: Rick Callahan, Director of Communications, (709) 729-4860.

2002 11 13                                        3:50 p.m.